[Code of Federal Regulations]

[Title 49, Volume 4]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 49CFR266.13]



[Page 838-839]

 

                        TITLE 49--TRANSPORTATION

 

       CHAPTER II--FEDERAL RAILROAD ADMINISTRATION, DEPARTMENT OF 

                             TRANSPORTATION

 

PART 266_ASSISTANCE TO STATES FOR LOCAL RAIL SERVICE UNDER SECTION 5 

OF THE DEPARTMENT OF TRANSPORTATION ACT--Table of Contents

 

Sec. 266.13  Distribution of funds.



    (a) Formula. Funds appropriated for or reallocated in any fiscal 

year (in this section refered to jointly as ``funds'') are to be 

distributed to each State as follows:

    (1) Two-thirds of the funds will be allocated in the ratio which a 

State's rail mileage that, in accordance with 49 U.S.C. 10904(d), is 

either potentially subject to abandonment or is to become the subject of 

an application for a certificate of abandonment or discontinuance which 

a carrier plans to submit, but has not yet submitted, bears to the total 

such rail mileage in all the States;

    (2) One-third of the funds will be allocated in the ratio which a 

State's rail mileage for which the Commission has found within three 

years prior to the first day of the fiscal year for which the funds are 

being allocated that the public convenience and necessity permits the 

abandonment, or the discontinuance, of rail service on such rail 

mileage, bears to the total such rail mileage in all the States. Until 

September 30, 1981, such rail mileage includes the rail mileage which 

was eligible under the Rail Service Assistance Program pursuant to 

section 402 of the Rail Act, and all rail mileage which, prior to 

October 1, 1978, had been included for formula allocation purposes. The 

Administrator will calculate rail mileage under this paragraph as of 

October 1 of each year; and

    (3) The above calculations will be adjusted if necessary so that no 

State receives less than 1 percent of the funds appropriated for a 

fiscal year.

    (b) Reallocation. The Administrator will reallocate among the States 

funds which have not been granted under an executed grant agreement by 

the end of the fiscal year for which the funds were appropriated and 

funds determined by



[[Page 839]]



a Federal audit to be in excess of allowable costs when they have not 

been granted under an executed grant agreement by the end of the fiscal 

year in which the Federal audit is made. Reallocated funds are 

distributed in accordance with the allocation formula described in 

paragraph (a) of this section.

    (c) Interstate sharing of allocated funds. Where not in violation of 

State law, two or more States, which are eligible to receive assistance 

under the Rail Service Assistance Program pursuant to Sec. 266.5 of 

this part may combine any portion of their entitlements for purposes of 

conducting any eligible project of mutual benefit provided that they 

enter into an agreement for this purpose.